Keel
SENIOR MEMBER
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- Sep 29, 2014
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To be honest, our goal is to 1st mover market share in HSR. It is not about short term profit. If it is about profit, we would have fled already.
The key is how much cash you have in your coffer to burn
If the Japanese invests in Thai and Indonesian projects without paying regard to profitability, then we can just act as another bidder tendering at our lowest margins and knowing how much lower the bids could be. If the Japanese always wins at the lowest bid. this will suck them out of financial capabilities until they're dried up. This strategy of giving away profits and ultra generous financial arrangements to the users of the HSR cannot last too long for the Japanese
Until the users of the HSR know in a decade or so later that the Japanese is going to recoup their constructions and financial losses through outrageous price tags in repair and maintennace supplies, the reputation of the Japanese venture into global HSR will further rot from there, Taiwan HSR's failure is a classic example
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